## 4. The present value of a scooter is 15,360. If its value depreciates 25/2% every year, find its value after 3 years

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ANSWER

PERCENTAGE OF DEPRECIATION ; 25/2%

PRESENT VALUE ; RS 15360

AMOUNT OF ONE YEAR;25/2/100 X 15360 = RS 1920

THEREFORE, VALUE OF SCOOTER 3 YEARS BEFORE = 15360+( 3 X 1920)

=RS 21,120

I ADDED (3 X 1920) BECAUSE THEY ASKED FOR VALUE 3 YEARS BEFORE . IF THEY ASKED FOR 3 YEARS LATER THEN SUBTRACT (3 X 1920)

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